- BlackRock’s new spot bitcoin ETF has quickly gained assets, surpassing $2 billion in AUM as bitcoin rose above $42,000 on Friday. It is the first completely new spot bitcoin ETF to hit $2 billion.
- Trading volume for spot bitcoin ETFs has topped $22 billion since launch in January, though it has slowed from the massive $23 billion on day one.
- The top spot bitcoin ETFs by volume so far are Grayscale’s, BlackRock’s, and Fidelity’s, with assets of $20 billion, $2 billion, and nearly $2 billion respectively.
BlackRock’s spot bitcoin exchange-traded fund (ETF) has quickly gained popularity among investors since its launch earlier this month. As the price of bitcoin climbed above $42,000 on Friday, the ETF surpassed $2 billion in assets under management (AUM).
Bitcoin’s Price Gains
On Friday, bitcoin rose around 5%, breaking back above $42,000 for the first time in over a week. The price increase was enough to push the value of BlackRock’s ETF above $2 billion based on the 49,952 bitcoin it held as of January 25.
First to Hit $2 Billion
With this latest milestone, BlackRock’s product has become the first completely new spot bitcoin ETF to reach $2 billion in AUM. Grayscale’s spot bitcoin ETF has around $20 billion in assets, but it converted from the company’s existing Grayscale Bitcoin Trust (GBTC) fund.
Slowing Trading Volume
Trading volume for spot bitcoin ETFs has topped $22 billion since their launch earlier in January. However, volume has slowed from the first day when trading hit $23 billion across the new products.
The Leading ETFs
The top spot bitcoin ETFs by volume so far have been Grayscale‘s, BlackRock’s, and Fidelity’s, which has nearly $2 billion in assets now. Ark Invest and Bitwise have also launched popular products, each garnering over $500 million in AUM.
Conclusion
In summary, BlackRock’s new spot bitcoin ETF has rapidly attracted investor assets, hitting the $2 billion milestone thanks to bitcoin’s rising price. The fund’s early success indicates strong demand for this new class of crypto investment products.
